Gujarat Government announces IT policy to promote IT-based start-ups

The Gujarat government has announced its first ever IT and Electronics Start-up Policy which will be applicable only to IT and electronics related start-ups.

The policy has special focus on encouraging new ventures by providing them various incentives and subsidies.

Under this policy

State Government will develop 50 new incubators to mentor and guide 2,000 start-ups in the next five years.

Around 10 lakh sq feet of land has been allotted for development of these incubators, which will provide guidance to budding innovators in setting up their start-up units.

State government will provide 50% capital investment assistance, in the limit of 50 lakh rupees, for setting up an incubator.

Incubators will be entitled to get 5 lakh rupees each year as mentoring assistance and the state government will give 1 crore rupees as assistance for the procurement of software to these incubators.

These incubators and new start-ups will get 100 per cent reimbursement of stamp duty and registration fees.

Start-ups will be provided other incentives such as interest subsidy of 9% per annum in the limit of 2 lakh rupees per year, marketing assistance of 1 lakh rupees per start-up, product development assistance of 1 lakh rupees and lease rental subsidy of 15 rupees per square feet per month.

For register their patents, state government will give 2 lakh rupees as assistance for domestic registration and 5 lakh rupees for international patent registration.